Feeds

Telstra aces LTE market

Morgan Stanley predicts Big T has 500k 4G customers already

Business security measures using SSL

Telstra has nailed first mover advantage in the LTE market, with a new report forecasting that the carrier will reveal it has captured in excess of 500,000 subscribers in its full year results next week.

Analysts at Morgan Stanley claim that Telstra will report annualized growth of 900% on LTE growth despite only having 200,000 LTE customers in May.

The new report from Morgan Stanley claims that Telstra’s aggressive LTE rollout strategy has sealed its spot as the dominant mobile carrier worked and estimates that Telstra has spent AUD $200 million on its LTE rollout since May 2011. The carrier has yet to confirm its capex on the LTE deployment.

The total upgrade of network to 4G is expected to cost of $400-500 million and the network deployment is currently around 40% complete.

The report claims that challengers Optus and Vodafone, have invested around $60 million each, on their respective LTE rollouts and may struggle to match the network gains that Telstra has already made.

The report found that Telstra has also maintained a 15% price advantage compared to an average of Optus and Vodafone over March 2011 to May 2012.

It claims that Telstra’s superior network (particularly in the face of Vodafone's poor network performance) has enabled it to increase its postpaid prices recently, including a 10% increase in call rates, connection/Flag rates up from 35c to 40c, and data allowance falling by 500MB per month.

“We believe TLS has the premium mobile network in Australia and a clear first mover advantage in 4G ... Telstra’s network advantage is predominantly a story of investing ahead of the curve, first in its 3G roll-out and now in its LTE 1800 MHz roll-out, although it has been helped by Vodafone Australia’s network problems,” the Morgan Stanley report said.

The analyst claim that the LTE strategy has given Telstra a marker boost with faster addition of new subs, lower churn rates than competitors and sustained premium pricing.

The report claims that globally carriers such as Vodafone are trying to emulate the Telstra LTE strategy.®

Protecting against web application threats using SSL

More from The Register

next story
Brit telcos warn Scots that voting Yes could lead to HEFTY bills
BT and Co: Independence vote likely to mean 'increased costs'
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
New 'Cosmos' browser surfs the net by TXT alone
No data plan? No WiFi? No worries ... except sluggish download speed
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Blockbuster book lays out the first 20 years of the Smartphone Wars
Symbian's David Wood bares all. Not for the faint hearted
Bonking with Apple has POUNDED mobe operators' wallets
... into submission. Weve squeals, ditches payment plans
This flashlight app requires: Your contacts list, identity, access to your camera...
Who us, dodgy? Vast majority of mobile apps fail privacy test
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.